JetFire62 said:
They should just focus on the audience that they're with now, because if they don't try anything drastic, it shouldn't get any worse
Get any worse?
XBox 360 Total global sales: 30 million (28th May 09)
http://www.thehdroom.com/news/Global_Xbox_360_Sales_Cross_30_Million_Mark/4872
PS3: 21 million (20th Feb 09)
http://www.psu.com/PS3-global-sales-top-21-million,-says-Sony--a006508-p0.php
Wii: 50 million (26 March 09)
http://www.manufacturing.net/News-Nintendo-Wii-Global-Sales-Top-50-Million-032609.aspx
Extrapolate this to get them all to current date, assuming Febuary09-like behaviour [estimation only]:
http://forum.pcvsconsole.com/viewthread.php?tid=11067
At end of May:
XBox: 30 million
PS3: 22 million
Wii: 51.5 million
Wii sales equally the sum total of both rival consoles? Where's the failure? By all accounts an undeniably huge comercial success.
What Nintendo has been doing is fantastic "disruption" and "blue ocean" strategies. Target the *non-consumer* (counter intuitively) and make an entirely new marketplace. And then with this established user-base take the whole shebang slowly by "upmarket". And in this case, this means going up the ladder into the realms of the increasingly hardcore.
Stategy: Start with the outfield plays, the non-gamer games. This is the previously untapped "blue ocean" resource. Wii play, Wii sports, Wii fit, Nintendogs, Brain Age, etc. Then, last year they made the first proper "bridge" games, Mario Galaxy, Smash Bros Brawl and Zelda: Twilight Princess. It's only now that the targeting of the true gamers begins. If they keep it up then from christmas into and through next year we're going to see some genuinely epic stuff.
The best thing about this strategy is it starts out completely passive. Targetting the non-gamer market as the number one priority? Nuts surely? A large chunk of the first few years the user base doesn't overlap too much with the old target markets, so Microsoft and Sony aren't too worried, but by the time it's encoached on their doorstep its far too late.
Sony did it in the 1950s with the transistor radio over AT&T, Honda did it with off-road motor biking over Harley-Davidson, and Nintendo is doing it now.
Don't want to take it from me? Heres a quote from the Reggie himself:
Reggie Fils-Aime said:
"Nintendo's counterpunch is disruption. We've determined that the videogame market is ripe for revival - and we're looking to make it happen by reaching out to the millions of players still on the sidelines, including those over the age of 35
"And we've pulled the wraps off a new game interface for our upcoming console, code-named Revolution, that will break down the barriers of complexity that bar newcomers from test driving our products, while featuring the most advanced gaming experience ever. We're expanding our market by disrupting it."
"In short, the sensible path seems clear: disrupt before you're disrupted."
http://www.brandweek.com/bw/magazine/features/article_display.jsp?vnu_content_id=1001995536
Ok this is getting too long for a single post. One more thing:
A quick question to the more hardcore Halo/GoW fans (or more generally to those people who consider themselves hardcore Xbox/PS3 users and specifically the more anti-Wii ones):
How did you feel when Microsoft and Sony showcased at E3'09 technology that is self-evidently due a direct influence (if not outright immitation) of Nintendo's Wii-Motion and interactivity technology? *Especially* after it was villified by the massed hardcore gamer hordes (to which you might well have contributed) for its role "destroying console gaming".
1) Bitterness? Betrayal? Micosoft/Sony sold out for a meagre slice of this new market pie at the expense of your future gaming enjoyment?
2) Is it awesome and makes you realise just how truely great Nintendo was, pioneering this tech without which current developments would never have happened? And therefore maybe still a bit bitter?
Then there's always:
3) Denial? If this is you, you can keep telling yourself these developments would've happened anyway, but your not kidding anyone else.
Disruption is awesome
Reference: http://malstrom.50webs.com/ Some fantastic (and huge) articles on Disruption and Blue Ocean strategies. Particular reference to how Nintendo is using them to dominate the console market.